SEC Chair Paul Atkins made an announcement at the Economic Club of Washington on Tuesday that the market had been waiting for. The agency is "on the cusp" of releasing the first official clearance for trading tokenized securities onchain, he said. The document will give firms a limited legal pathway for real operations while the SEC finalizes permanent rules.
Why the US market has been waiting for this
The US market for tokenized assets has been stuck for years. Banks, brokers, and asset managers shelved tokenization projects because any step forward risked running into securities law. The SEC gave no answer.
The exemption closes that gap. Firms will handle a limited set of tokenized securities transactions onchain without full registration under existing rules. The exemption is a temporary green light for first experiments, not a final rulebook.
Three years in the making
Atkins first flagged the idea in July 2025, saying the SEC was looking at "targeted relief" to support new trading methods. No timeline was given.
In March 2026, Commissioner Hester Peirce confirmed that staff were still working on the document - framing it as a way to allow limited onchain experimentation while the agency studied how existing securities laws apply to blockchain markets. Now Atkins says the release is close.
Token taxonomy: what falls under SEC authority
On March 17, the SEC released interpretive guidance classifying digital assets into four groups: digital commodities, collectibles, tools, and stablecoins. Only tokenized securities fell under the agency's core jurisdiction.
On March 24, the proposed taxonomy went to the White House for review. As of April 22, it still shows "pending review." Once signed, it will sit alongside the "innovation exemption" as the legal backbone of US digital asset markets.
What happens next
Bitcoin and Ethereum gained 3-4% on the day of Atkins' speech. The direct impact on tokenized markets will come after the exemption is published.
Investment banks and asset managers that spent years waiting for a regulatory signal will finally have grounds to move frozen projects forward. If several large players act at the same time, the volume of tokenized securities on blockchain markets could grow sharply within months.
Bottom line
Atkins did not give another promise without a timeline. "On the cusp" means a specific document is coming soon. For banks and funds that spent years waiting for regulatory clarity, this is the first real green light.
Comments
Your email address will not be published. Required fields are marked *